The Prentice Company has provided the following information:
$$\begin{array} { | l | r | }
\hline \text { Net sales } & \$ 1,000,000 \
\hline \text { Operating income } & \$ 100,000 \
\hline \text { Contribution margin ratio } & 25 \% \
\hline
\end{array}$$ What is the breakeven point in sales dollars?
A) $250,000
B) $400,000
C) $600,000
D) $900,000

Question

The Prentice Company has provided the following information:
$$\begin{array} { | l | r | } 
\hline \text { Net sales } & \$ 1,000,000 \
\hline \text { Operating income } & \$ 100,000 \
\hline \text { Contribution margin ratio } & 25 \% \
\hline
\end{array}$$ What is the breakeven point in sales dollars?
A) $250,000
B) $400,000
C) $600,000
D) $900,000

Quizplus · Accepted Answer

The Answer of The Prentice Company has provided the following information:
$$\begin{array} { | l | r | } 
\hline \text { Net sales } & \$ 1,000,000 \
\hline \text { Operating income } & \$ 100,000 \
\hline \text { Contribution margin ratio } & 25 \% \
\hline
\end{array}$$ What is the breakeven point in sales dollars?
A) $250,000
B) $400,000
C) $600,000
D) $900,000

The Prentice Company Has Provided the Following Information What Is the Breakeven Point in Sales Dollars? A) $250,000

The Prentice Company Has Provided the Following Information What Is the Breakeven Point in Sales Dollars?
A) $250,000